The Securities Appellate Tribunal (SAT) has asked the Securities and Exchange Board of India (SEBI) to clarify what additional documents and information it provided to US-based trading firm Jane Street beyond the material it was legally required to disclose.
The proceedings are part of a regulatory case involving SEBI's allegations that Jane Street and related entities made unlawful gains of approximately ₹4,843 crore through an alleged market-manipulation strategy involving the Bank Nifty index.
The latest hearing focused on the scope of documents Jane Street should receive as it prepares its response to the regulatory allegations.
Jane Street Seeks Detailed Trading Records
During the proceedings, Jane Street told the tribunal that it had requested a limited set of documents necessary to prepare its defence.
SEBI disputed that description, arguing that the firm's actual request covered a substantially broader range of material. The regulator maintained that it had already supplied information beyond what was statutorily required at the current stage of the proceedings.
Among the records sought by Jane Street are detailed trading information, including transaction prices, volumes and precise execution timestamps.
SEBI said these core trading details had already been provided, although information identifying counterparties had been removed from the documents.
Dispute Extends to SEBI-NSE Communications
The document dispute also covers material relating to communications between SEBI and the National Stock Exchange.
According to the regulator, Jane Street has sought internal communications, data exchanged with the exchange, third-party complaints and representations received by SEBI. The requests also reportedly include internal position data placed before regulatory divisions and email exchanges involving officials of the regulator and the exchange.
SEBI's position is that it has provided the information on which its interim findings were based and that it is not required to disclose certain additional material, including counterparty identities.
Jane Street, however, maintains that broader disclosure is necessary for it to properly respond to the allegations.
₹4,843 Crore Allegations Remain Contested
The dispute originates from an interim order issued by SEBI in July 2025.
The regulator alleged that Jane Street and affiliated entities had manipulated the Bank Nifty index through coordinated trading across the cash and derivatives markets. SEBI estimated the alleged unlawful gains at around ₹4,843 crore.
Jane Street has denied the allegations.
SEBI initially imposed restrictions on the firm and directed that the disputed amount be placed in an escrow account. The trading restrictions were subsequently lifted after the funds were deposited, without an admission of wrongdoing.
Trading Data Central to Regulatory Case
The underlying trading records are important to the regulator's case because SEBI's allegations rely on patterns in orders and transactions across the cash and futures segments.
The tribunal is therefore examining the balance between providing the material needed by Jane Street to respond to the allegations and protecting information that SEBI says it is not legally required to disclose.
Reviewing the authenticity, completeness and relevance of financial and market records is an important part of Due Diligence when assessing complex transactions and regulatory issues.
SAT to Consider Further Disclosure
The tribunal is scheduled to continue hearing the matter, with Jane Street expected to present its response.
Following the arguments, SAT will consider which additional documents, if any, SEBI should provide to Jane Street and its associated entities and which information may legitimately remain undisclosed.
The proceedings concern the disclosure of evidence and regulatory procedure; they do not by themselves determine whether SEBI's underlying allegations of market manipulation will ultimately be upheld.